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BILLIONAIRE businessman Oei Hong Leong could potentially become Asia-Pacific Strategic Investments Limited's (Apsil) controlling shareholder if its right issue is substantially under-subscribed, the Catalist-listed firm said in a Singapore Exchange (SGX) filing on Friday.

Mr Oei intends to take up 7.79 billion new shares in an under-subscription scenario. If no other existing shareholder subscribes to this rights issue, Mr Oei will hold approximately 66.7 per cent of the firm's enlarged issued share capital.

Earlier in Jan 2016, Apsil announced that it has agreed to place out 2.6 billion new shares at 0.54 Singapore cent apiece to Mr Oei to raise S$14.2 million. The company told BT on Friday that this placement has "yet to materialise" as it is subject to various conditions that have yet to be fulfilled or waived.

In its SGX filing, Apsil said shareholders have fully backed its two-for-one rights cum warrants issue at the group's extraordinary general meeting held on Dec 6, 2017.

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Assuming the full conversion of its existing warrants, the issued ordinary share capital of Apsil will be 7.27 billion shares. The approved rights issue could raise up to S$42.7 million in net proceeds with the full subscription of all 14.54 billion new shares issued at 0.3 Singapore cent apiece.

"Between 70 and 90 per cent of the net proceeds will be used to fund the group's expansion into the proposed new business of real estate development," the group said.

Apsil intends to expand its reach into China's property sector, having recently acquired two property companies in Huzhou in Zhejiang province. In Singapore, the group owns a real estate agency business, Global Alliance Property Pte Ltd, with a pool of about 650 real estate agents that operates under the Century 21 franchise.